Gap considers closing all its UK stores

October 23rd, 2020 Toks News 0 comments 1

Warning: Undefined variable $imgWidrh in /home/tokunbooyalowo/public_html/wp-content/themes/weeklynews/inc/class-article.php on line 460

Shoppers defy economic gloom in September

Warning: Undefined variable $imgWidrh in /home/tokunbooyalowo/public_html/wp-content/themes/weeklynews/inc/class-article.php on line 460

Free school meals: Authors urge government action to stop child hunger

Warning: Undefined variable $imgWidrh in /home/tokunbooyalowo/public_html/wp-content/themes/weeklynews/inc/class-article.php on line 460

Covid-19: England and Wales begin tougher rules for millions

Covid: Why is coronavirus so deadly? October 23rd, 2020

Nagorno-Karabakh: The three-year-old orphaned by war October 23rd, 2020

Shoppers defy economic gloom in September October 23rd, 2020

Gap considers closing all its UK stores

Published: duration17 minutes ago

image copyrightGetty Images

US retailer Gap could close all of its own UK stores, putting thousands of jobs at risk, as it mulls shifting its operations to franchise-only in Europe.

It may close all of its shops in the UK, France, Ireland and Italy next summer, the retailer said.

Gap could also close its European distribution centre in Rugby.

The retailer, whose sales have been falling in recent years, reported a £740m loss in the three months to May due to coronavirus disruption.

Instead of operating its own stores, Gap said it was looking at whether to move to a franchise model.

The retailer had 129 Gap branded stores in Europe at the end of July.

"As we conduct the review, we will look at transferring elements of the business to interested third parties as part of a proposed partnership model expansion," said Mark Breitbard, head of Gap brand global.

Clothing retailers have been hit hard by the coronavirus crisis. As well as temporary shop closures during lockdown, they have had to contend with lower footfall and an accelerated shift to online shopping which has been capitalised on by specialists such as Asos and Boohoo.

Many retailers have struggled to survive amid the crisis, according to the Centre for Retail Research. These include:

Edinburgh Woollen Mill, which owns Jaegar and Austin Reed has filed notice to appoint administrators, putting 21,000 jobs at risk.

Debenhams, which said in August it would cut thousands of jobs, is up for sale and trying to find a new owner.

The DW Sports chain which entered administration in August threatening 1,700 jobs.

Scots-based clothing retailer M&Co which has gone into administration and said it would cut nearly 400 jobs in August.

Even before the pandemic, Gap was fighting to revitalise itself after losing younger shoppers to cheaper fast fashion brands such as Zara, H&M and Forever 21 over a number of years.

Earlier this year, Gap said it planned to close over 225 unprofitable Gap and Banana Republic stores globally as a part of a restructuring plan.

Features

Composer with dementia meets students he inspired. VideoComposer with dementia meets students he inspired

play
'The most wholesome thing on the internet'
Why Nigerian protesters are upset with Beyoncé
Africa's top shots: Sunrise, ballots and bullets
Inside Europe’s most infected area. VideoInside Europe’s most infected area

play
Biden or Trump? Persuading an undecided voter. VideoBiden or Trump? Persuading an undecided voter

play
Lockdown: 'I cycled every street in my 5km radius' VideoLockdown: 'I cycled every street in my 5km radius'

play
The Covid doctor whose dance video went viral. VideoThe Covid doctor whose dance video went viral

play
Disney's real-life Snow White dies at 101